BofA Securities strategists highlighted that last week saw the first equity inflows in four weeks. In addition, corporate customers picked up buybacks after a slow start to the year.
The firm's data showed that last week clients were net buyers of US equities to the tune of $2.3 billion. Clients bought single stocks and sold ETFs. They also bought large/mid caps but sold small caps. Year-to-date, large caps are the only size segment to see inflows. Looking at sectors, tech saw its largest inflows in three months and financials saw its first inflows in four weeks following solid earnings in the sector.
On stock buybacks, the strategists highlighted that client buybacks accelerated to their highest level since October 2022. They note buybacks have been tracking above seasonal trends the last three weeks after tepid trends in February and March.